STATEN ISLAND, N.Y., Oct. 20, 2026 (GLOBE NEWSWIRE) — ES Bancshares, Inc. (OTCQX: ESBS) (the “Company”) the holding company for Empire State Bank, (the “Bank”) today reported net income of $1.0 million, or $0.14 per diluted common share, for the quarter ended September 30, 2026, compared to a net income of $882 thousand, or $0.13 per diluted common share for the quarter ended June 30, 2026.
| Key Quarterly Financial Data | 2026 Highlights | ||||||||
| Performance Metrics | 3Q26 | 2Q26 | 1Q26 | •Our core deposits grew by $3.5 million from year end 2025 inclusive of a $12.1 million increase in non-interest bearing deposits. | |||||
| Return on average assets (%) | 0.65 | 0.57 | 0.71 | ||||||
| Return on average equity (%) | 7.54 | 6.72 | 8.91 | ||||||
| Return on average tangible equity (%) | 7.63 | 6.80 | 9.02 | ||||||
| Net interest margin (%) | 3.21 | 3.10 | 3.06 | •The Cost of Funds for the three months ended September 30, 2026, dropped to 2.36% from 2.41% in the prior linked quarter. | |||||
| Income Statement (a) | 3Q26 | 2Q26 | 1Q26 | ||||||
| Net interest income | $ | 4,814 | $ | 4,666 | $ | 4,698 | |||
| Non-interest income | $ | 369 | $ | 317 | $ | 366 | •For 3 months ended September 30, 2026, the Company’s net interest margin increased to 3.21% compared to 3.10% for the 3 months ended June 30, 2026. | ||
| Net income | $ | 1,004 | $ | 882 | $ | 1,108 | |||
| Earnings per diluted common share | $ | 0.14 | $ | 0.13 | $ | 0.16 | |||
| Balance Sheet (a) | 3Q26 | 2Q26 | 1Q26 | •Book value for the quarter ended September 30, 2026, totaled $7.78 per share increasing for the tenth consecutive quarter. | |||||
| Average total loans | $ | 525,813 | $ | 533,801 | $ | 541,939 | |||
| Average total deposits | $ | 508,855 | $ | 503,221 | $ | 515,419 | |||
| Book value per share | $ | 7.78 | $ | 7.64 | $ | 7.50 | |||
| Tangible book value per share | $ | 7.69 | $ | 7.56 | $ | 7.42 | |||
| (a) In thousands except for per share amounts | |||||||||
Phil Guarnieri, Director, and Chief Executive Officer of ES Bancshares said “We have increased our earnings per share, net interest margin and our net interest income this quarter. Our book value per share has grown to $7.78. Our cost containment program and greater efficiencies have contributed to our improved performance this quarter.”
Selected Balance Sheet Information:
September 30, 2026 vs. December 31, 2025
As of September 30, 2026, total assets were $596.1 million, a decrease of $20.6 million, or 3.3%, as compared to total assets of $616.7 million on December 31, 2025. The decrease can be attributed to our reductions in our borrowed funds and brokered deposits partially offset by our increase in non-interest deposits and a corresponding decrease in loans receivable of $26.4 million.
Loans receivable, net of Allowance for Credit Losses on Loans totaled $518.2 million, a decrease of $26.4 million or 4.9% from December 31, 2025. As of September 30, 2026, the Allowance for Credit Losses on Loans as a percentage of gross loans was 0.98%.
Nonperforming assets, which includes nonaccrual loans and foreclosed real estate were $4.9 million or 0.83% of total assets, as of September 30, 2026, decreasing from $5.9 million, or $958 thousand, from December 31, 2025. The ratio of nonaccrual loans to loans receivable, net was 0.95%, as of September 30, 2026, and 1.08% for December 31, 2025. The decrease from December 31, 2025, was primarily due to the payoff of one non-owner occupied commercial real estate loan in the first quarter of 2026.
Total liabilities decreased $23.3 million to $542.5 million at September 30, 2026, from $565.8 million at December 31, 2025. The decrease can be attributed to decrease in borrowed money of $13.6 million and a decrease in brokered deposits of $15.0 million, partially offset by an increase in non-interest deposits of $12.1 million.
As of September 30, 2026, the Bank's Tier 1 capital leverage ratio, common equity tier 1 capital ratio, Tier 1 capital ratio and total capital ratios were 10.35%, 15.62%, 15.62% and 16.87% respectively, all in excess of the ratios required to be deemed "well-capitalized." During the third quarter of 2026 the Company did not repurchase any shares. We have terminated our second stock repurchase plan. Book value per common share was $7.78 at September 30, 2026, compared to $7.34 at December 31, 2025. Tangible common book value per share (which represents common equity less goodwill, divided by the number of shares outstanding) was $7.69 at September 30, 2026, compared to $7.25 at December 31, 2025.
Financial Performance Overview:
Three Months Ended September 30, 2026, vs. June 30, 2026
For the three months ended September 30, 2026, the Company net income totaled $1.0 million, compared to a net income of 882 thousand for the three months ended June 30, 2026. The increase can be attributed to higher net interest income partially offset by higher income taxes.
Net interest income for the three months ended September 30, 2026 increase $148 thousand to $4.8 million, from $4.7 million in the June quarter despite the lower average loan balance during the current quarter. The Company’s net interest margin increased by 11 basis points to 3.21% for the three months ended September 30, 2026, as compared to 3.10% for the three months ended June 30, 2026. The increase in margin can be attributed to a decrease in interest expense on borrowings. Our subordinated debt repriced as of Jul 30, 2026, and adjusts quarterly at a margin of 579 basis points over the 3-month SOFR rate.
There was a $44 thousand reversal for credit losses taken for the three months ended September 30, 2026, compared to a $52 thousand reversal for credit losses for the three months ended June 30, 2026. The reversal for credit losses was due to reversal of the loan and investment allowance for credit losses due to the lower outstanding balances of each respective category.
Non-interest income increased $52 thousand, to $369 thousand for the three months ended September 30, 2026, compared with non-interest income of $317 thousand for the three months ended June 30, 2026. The majority of the increase can be attributed to higher service charges and fees on loans in the third quarter of 2026. We have not yet received the remaining ERTC installments for the 2021 tax year.
Non-interest expenses remained at $3.9 million for the three months ended September 30, 2026, and for the three months ended June 30, 2026. The largest fluctuations quarter over quarter were due to a $196 thousand increase in compensation and benefits, partially offset by a decrease of $106 thousand in professional fees and a $49 thousand decrease in marketing.
About ES Bancshares Inc.
ES Bancshares, Inc. (the “Company”) is incorporated under Maryland law and serves as the holding company for Empire State Bank (the “Bank”). The Company is subject to regulation by the Board of Governors of the Federal Reserve System while the Bank is primarily subject to regulation and supervision by the New York State Department of Financial Services. Currently, the Company does not transact any material business other than through the Bank, its subsidiary.
The Bank was organized under federal law in 2004 as a national bank regulated by the Office of the Comptroller of the Currency. The Bank's deposits are insured up to legal limits by the FDIC. In March 2009, the Bank converted its charter to a New York State commercial bank charter. The Bank’s principal business is attracting commercial and retail deposits in New York and investing those deposits primarily in loans, consisting of commercial real estate loans, and other commercial loans including SBA and mortgage loans secured by one-to-four-family residences. In addition, the Bank invests in mortgage-backed securities, securities issued by the U.S. Government and agencies thereof, corporate securities and other investments permitted by applicable law and regulations.
We operate from our five Banking Center locations, a Loan Production Office and our Corporate Headquarters located in Staten Island, New York. The Company’s website address is www.esbna.com. The Company’s annual report, quarterly earnings releases and all press releases are available free of charge through its website, as soon as reasonably practicable.
Forward-Looking Statements
This release may contain certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. For this purpose, any statements contained in this release that are not statements of historical fact may be deemed to be forward-looking statements. Without limiting the foregoing, words such as “may”, “will”, “expect”, “believe”, “anticipate”, “estimate” or “continue” or comparable terminology, are intended to identify forward-looking statements. These statements by their nature involve substantial risks and uncertainties, and actual results may differ materially depending on a variety of factors, many of which are not within ES Bancshares, Inc’s. control. The forward-looking statements included in this release are made only as of the date of this release. We have no intention, and do not assume any obligation, to update these forward-looking statements.
Investor Contact:
Peggy Edwards, Corporate Secretary
(845) 451-7825
| ES Bancshares, Inc. Consolidated Statement of Financial Condition (in thousands) |
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| September 30, 2026 |
December 31, 2025 |
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| (unaudited) | ||||||||
| Assets | ||||||||
| Cash and cash equivalents | $ | 22,169 | $ | 36,645 | ||||
| Securities, net | 33,403 | 11,915 | ||||||
| Loans receivable, net: | ||||||||
| Real estate mortgage loans | 507,359 | 528,158 | ||||||
| Commercial and Lines of Credit | 12,433 | 17,648 | ||||||
| Home Equity and Consumer Loans | 284 | 379 | ||||||
| Deferred costs | 3,217 | 3,544 | ||||||
| Allowance for Loan Credit Losses | (5,121 | ) | (5,142 | ) | ||||
| Total loans receivable, net | 518,172 | 544,586 | ||||||
| Accrued interest receivable | 3,034 | 2,649 | ||||||
| Investment in restricted stock, at cost | 3,215 | 3,846 | ||||||
| Goodwill | 581 | 581 | ||||||
| Bank premises and equipment, net | 3,713 | 4,128 | ||||||
| Repossessed assets | – | – | ||||||
| Right of use lease asset | 4,345 | 5,019 | ||||||
| Bank Owned Life Insurance | 5,785 | 5,653 | ||||||
| Other Assets | 1,671 | 1,645 | ||||||
| Total Assets | $ | 596,088 | $ | 616,667 | ||||
| Liabilities & Stockholders' Equity | ||||||||
| Non-Interest-Bearing Deposits | $ | 118,108 | $ | 105,966 | ||||
| Interest-Bearing Deposits | 372,927 | 381,531 | ||||||
| Brokered Deposits | – | 15,040 | ||||||
| Total Deposits | 491,035 | 502,537 | ||||||
| Bond Issue, net of costs | 11,359 | 11,823 | ||||||
| Borrowed Money | 25,737 | 39,328 | ||||||
| Lease liability | 4,624 | 5,307 | ||||||
| Other Liabilities | 9,765 | 6,839 | ||||||
| Total Liabilities | 542,520 | 565,834 | ||||||
| Stockholders' equity | 53,568 | 50,833 | ||||||
| Total liabilities and stockholders' equity | $ | 596,088 | $ | 616,667 | ||||
| ES Bancshares, Inc. Consolidated Statement of Income (in thousands) | |||||||||||
| Three Months Ended, | |||||||||||
| September 30, 2026 | June 30, 2026 | March 31, 2026 | |||||||||
| (unaudited) | |||||||||||
| Interest income | |||||||||||
| Loans | $ | 7,397 | $ | 7,383 | $ | 7,510 | |||||
| Securities | 230 | 149 | 181 | ||||||||
| Other interest-earning assets | 445 | 463 | 464 | ||||||||
| Total Interest Income | 8,072 | 7,995 | 8,155 | ||||||||
| Interest expense | |||||||||||
| Deposits | 2,606 | 2,602 | 2,721 | ||||||||
| Borrowings | 652 | 727 | 736 | ||||||||
| Total Interest Expense | 3,258 | 3,329 | 3,457 | ||||||||
| Net Interest Income | 4,814 | 4,666 | 4,698 | ||||||||
| Reversal of Credit Losses | (44 | ) | (52 | ) | (21 | ) | |||||
| Net Interest Income after Provision for Credit Losses | 4,858 | 4,718 | 4,719 | ||||||||
| Non-interest income | |||||||||||
| Service charges and fees | 320 | 270 | 301 | ||||||||
| Other | 49 | 47 | 65 | ||||||||
| Total non-interest income | 369 | 317 | 366 | ||||||||
| Non-interest expenses | |||||||||||
| Compensation and benefits | 2,096 | 1,900 | 2,112 | ||||||||
| Occupancy and equipment | 618 | 615 | 624 | ||||||||
| Data processing service fees | 333 | 326 | 315 | ||||||||
| Professional fees | 199 | 305 | 272 | ||||||||
| FDIC & NYS Banking Premiums | 80 | 96 | 101 | ||||||||
| Marketing | 73 | 122 | 79 | ||||||||
| Insurance | 48 | 48 | 49 | ||||||||
| Other | 453 | 451 | 491 | ||||||||
| Total non-interest expense | 3,900 | 3,863 | 4,043 | ||||||||
| Income(loss) prior to tax expense | 1,327 | 1,172 | 1,042 | ||||||||
| Income taxes | 323 | 290 | (66 | ) | |||||||
| Net Profit | $ | 1,004 | $ | 882 | $ | 1,108 | |||||
| ES Bancshares, Inc. | |||||||||||||||||||
| Average Balance Sheet Data | |||||||||||||||||||
| For the Three Months Ended (dollars in thousands) | |||||||||||||||||||
| September 30, 2026 | June 30, 2026 | March 31, 2026 | |||||||||||||||||
| Avg Bal | Interest | Average | Avg Bal | Interest | Average | Avg Bal | Interest | Average | |||||||||||
| Rolling 3 Mos. | Rolling 3 Mos. | Yield/Cost | Rolling 3 Mos. | Rolling 3 Mos. | Yield/Cost | Rolling 3 Mos. | Rolling 3 Mos. | Yield/Cost | |||||||||||
| Assets | |||||||||||||||||||
| Interest-earning assets: | |||||||||||||||||||
| Loans receivable | $ | 525,813 | $ | 7,397 | 5.63 | % | $ | 533,801 | $ | 7,383 | 5.53 | % | $ | 541,939 | $ | 7,510 | 5.54 | % | |
| Investment securities | 25,910 | 230 | 3.55 | % | 18,079 | 149 | 3.29 | % | 21,053 | 181 | 3.43 | % | |||||||
| Other interest earning assets | 48,646 | 445 | 3.71 | % | 49,961 | 463 | 3.76 | % | 50,677 | 464 | 3.71 | % | |||||||
| Total interest-earning assets | 600,369 | 8,072 | 5.38 | % | 601,841 | 7,995 | 5.31 | % | 613,669 | 8,155 | 5.31 | % | |||||||
| Non-interest earning assets | 13,439 | 14,932 | 28,474 | ||||||||||||||||
| Total assets | $ | 613,808 | $ | 616,773 | $ | 642,143 | |||||||||||||
| Liabilities and Stockholders' Equity | |||||||||||||||||||
| Interest-bearing liabilities: | |||||||||||||||||||
| Demand Deposit accounts | $ | 37,787 | $ | 35 | 0.36 | % | $ | 36,234 | $ | 35 | 0.38 | % | $ | 39,363 | $ | 36 | 0.37 | % | |
| Savings accounts | 225,436 | 1,327 | 2.34 | % | 214,768 | 1,282 | 2.39 | % | 221,971 | 1,360 | 2.48 | % | |||||||
| Certificates of deposit | 134,906 | 1,244 | 3.66 | % | 146,949 | 1,285 | 3.51 | % | 149,160 | 1,235 | 3.36 | % | |||||||
| Total interest-bearing deposits | 398,130 | 2,606 | 2.60 | % | 397,951 | 2,602 | 2.62 | % | 410,494 | 2,721 | 2.69 | % | |||||||
| Borrowings | 30,859 | 361 | 4.64 | % | 38,002 | 444 | 4.69 | % | 39,200 | 454 | 4.69 | % | |||||||
| Subordinated debenture | 11,356 | 291 | 10.20 | % | 11,346 | 283 | 9.97 | % | 11,337 | 282 | 9.95 | % | |||||||
| Total interest-bearing liabilities | 440,344 | 3,258 | 2.94 | % | 447,299 | 3,329 | 2.98 | % | 461,031 | 3,457 | 3.04 | % | |||||||
| Non-interest-bearing demand deposits | 110,726 | 105,270 | 104,925 | ||||||||||||||||
| Other liabilities | 9,473 | 11,717 | 24,577 | ||||||||||||||||
| Total non-interest-bearing liabilities | 120,199 | 116,987 | 129,502 | ||||||||||||||||
| Stockholders' equity | 53,265 | 52,487 | 51,610 | ||||||||||||||||
| Total liabilities and stockholders' equity | $ | 613,808 | $ | 616,773 | $ | 642,143 | |||||||||||||
| Net interest income | $ | 4,814 | $ | 4,666 | $ | 4,698 | |||||||||||||
| Average interest rate spread (1) | 2.44 | % | 2.33 | % | 2.27 | % | |||||||||||||
| Net interest margin (2) | 3.21 | % | 3.10 | % | 3.06 | % | |||||||||||||
| (1) Average interest rate spread represents the difference between the yield on average interest-earning assets and | |||||||||||||||||||
| and the cost of average interest-bearing liabilities. | |||||||||||||||||||
| (2) Net interest margin represents net interest income divided by average total interest-earning assets. | |||||||||||||||||||
| ES Bancshares, Inc. | |||||||||||||||||
| Five Quarter Performance Ratio Highlights | Three Months Ended | ||||||||||||||||
| September 30, 2026 | June 30, 2026 | March 31, 2026 | December 31, 2025 | September 30, 2025 | |||||||||||||
| Performance Ratios (%) – annualized | |||||||||||||||||
| Return on Average Assets | 0.65 | % | 0.57 | % | 0.71 | % | 0.42 | % | 0.41 | % | |||||||
| Return on Average Equity | 7.54 | % | 6.72 | % | 8.91 | % | 5.31 | % | 5.12 | % | |||||||
| Return on Average Tangible Equity | 7.63 | % | 6.80 | % | 9.02 | % | 5.37 | % | 5.18 | % | |||||||
| Efficiency Ratio | 75.23 | % | 77.52 | % | 79.84 | % | 80.84 | % | 81.71 | % | |||||||
| Yields / Costs (%) | |||||||||||||||||
| Average Yield – Interest Earning Assets | 5.38 | % | 5.31 | % | 5.31 | % | 5.21 | % | 5.25 | % | |||||||
| Average Cost – Interest-bearing Liabilities | 2.94 | % | 2.98 | % | 3.04 | % | 3.20 | % | 3.22 | % | |||||||
| Net Interest Margin | 3.21 | % | 3.10 | % | 3.06 | % | 2.77 | % | 2.79 | % | |||||||
| Capital Ratios (%) | |||||||||||||||||
| Equity / Assets | 8.99 | % | 8.52 | % | 8.07 | % | 8.25 | % | 8.07 | % | |||||||
| Tangible Equity / Assets | 8.90 | % | 8.44 | % | 7.99 | % | 8.16 | % | 7.98 | % | |||||||
| Tier I leverage ratio (a) | 10.35 | % | 10.13 | % | 10.01 | % | 10.00 | % | 9.91 | % | |||||||
| Common equity Tier I capital ratio (a) | 15.62 | % | 15.07 | % | 15.10 | % | 14.91 | % | 14.51 | % | |||||||
| Tier 1 Risk-based capital ratio (a) | 15.62 | % | 15.07 | % | 15.10 | % | 14.91 | % | 14.51 | % | |||||||
| Total Risk-based capital ratio (a) | 16.87 | % | 16.32 | % | 16.35 | % | 16.16 | % | 15.76 | % | |||||||
| Stock Valuation | |||||||||||||||||
| Book Value (c) | $ | 7.78 | $ | 7.64 | $ | 7.50 | $ | 7.34 | $ | 7.24 | |||||||
| Tangible Book Value (c) | $ | 7.69 | $ | 7.56 | $ | 7.42 | $ | 7.25 | $ | 7.15 | |||||||
| Shares Outstanding (b) | 6,886 | 6,887 | 6,927 | 6,926 | 6,926 | ||||||||||||
| Asset Quality (%) | |||||||||||||||||
| ACL / Total Loans | 0.98 | % | 0.97 | % | 0.95 | % | 0.94 | % | 0.93 | % | |||||||
| Non Performing Loans / Total Loans, net | 0.95 | % | 0.93 | % | 0.92 | % | 1.08 | % | 1.10 | % | |||||||
| Non Performing Assets / Total Assets | 0.83 | % | 0.80 | % | 0.78 | % | 0.96 | % | 0.98 | % | |||||||
| (a) Ratios at Bank level (b) Shares information presented in thousands (c) Share value is in dollars | |||||||||||||||||
Featured Image: Megapixl @ Nicoelnino
